The Ministry of Finance announced a four-phase plan—policy research, legislation, technical elaboration, and implementation—to introduce VAT in the Digital Age (ViDA) package in the Netherlands.
The Netherlands Ministry of Finance published a four-phase plan in a letter on 26 June 2025 to introduce VAT in the Digital Age (ViDA) package requirements.
The planned phases are policy research, legislation, technical elaboration, and implementation.
The policy research phase focuses on e-invoicing obligations for domestic B2B transactions, mandatory digital reporting for domestic B2B transactions, and identifying the best technical infrastructure for e-invoicing and data reporting to the tax authority.
The government will consult businesses and service providers to ensure efficient implementation and minimise administrative burdens, particularly for smaller enterprises, before taking action.
Earlier, the Council Directive (EU) 2025/516 for the EU’s VAT in the Digital Age (ViDA) package took effect on 14 April 2025, 20 days after its publication in the EU’s Official Journal. The package introduces updates to the EU’s VAT systems to align with the demands of digital economies, tackle VAT fraud, and streamline administrative processes for small businesses and service providers.
Prior to that, the European Commission announced on 11 March 2025 that the ViDA package was adopted after approval by the European Parliament on 12 February 2025. The package will be rolled out gradually, with full implementation planned by January 2035.
